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Emergent macrostructures of path-dependent location adoptions processes of firms
Abstract Agglomeration of firms in a regional context is a complex process that cannot be tamed easily using traditional economic models. Instead, in this paper, I conducted computer simulations to observe under the assumption of increasing returns how firms choose among competing locations to form regional agglomeration. By designing simple rules of firms’ spatial choice behavior, I observed through such simulations how firms moved across and within regions. The findings showed that firms tended to lock-in a particular region, that is, that region dominated all others in the firms’ movement, reminiscent of market domination of a technology among competing technologies. The emergent macrostructures were surprisingly orderly in that the distributions of sizes of spatial clusters in relation to frequencies followed a logarithmically linear form or a power law. Unpredictability, path dependence, and small events were present in the simulations and can be explained in the context of regional development. Useful insights as to how macrostructures of agglomeration emerge through microbehaviors of firms can be gained through the simulations.
Emergent macrostructures of path-dependent location adoptions processes of firms
Abstract Agglomeration of firms in a regional context is a complex process that cannot be tamed easily using traditional economic models. Instead, in this paper, I conducted computer simulations to observe under the assumption of increasing returns how firms choose among competing locations to form regional agglomeration. By designing simple rules of firms’ spatial choice behavior, I observed through such simulations how firms moved across and within regions. The findings showed that firms tended to lock-in a particular region, that is, that region dominated all others in the firms’ movement, reminiscent of market domination of a technology among competing technologies. The emergent macrostructures were surprisingly orderly in that the distributions of sizes of spatial clusters in relation to frequencies followed a logarithmically linear form or a power law. Unpredictability, path dependence, and small events were present in the simulations and can be explained in the context of regional development. Useful insights as to how macrostructures of agglomeration emerge through microbehaviors of firms can be gained through the simulations.
Emergent macrostructures of path-dependent location adoptions processes of firms
Lai, Shih-Kung (Autor:in)
2006
Aufsatz (Zeitschrift)
Englisch
Emergent macrostructures of path-dependent location adoptions processes of firms
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